A Framework of Digital Transformation on Organizational Performance Through the Mediating Role of Innovation Practice in Abu Dhabi National Oil Company

This study validates a framework of the digital transformation effect on organizational performance at Abu Dhabi National Oil Company (ADNOC) through the mediating role of innovation practices. Employing a quantitative research methodology, data were collected from employees of ADNOC to assess the relationships among digital transformation initiatives, innovation practices, and performance outcomes. The results reveal that digital transformation significantly enhances organizational performance, and this relationship is further strengthened when innovation practices are actively fostered within the company. The findings highlight the necessity for organizations in the oil and gas sector to not only invest in digital technologies but also to create an environment that promotes continuous innovation. This dual approach is essential for achieving sustainable growth, maintaining a competitive advantage, and ensuring long-term resilience in a rapidly evolving industry context. The study offers valuable insights for both practitioners and policymakers seeking to maximize the benefits of digital transformation through a strategic emphasis on innovation.

Digital Transformation, Innovation Practices, Organizational Performance

1. Adama, H. E., & Okeke, C. D. (2024). Digital transformation as a catalyst for business model innovation: A critical review of impact and implementation strategies. Magna Scientia Advanced Research and Reviews, 10(02), 256-264. [Google Scholar] [Crossref]

2. Albakri, M., Bello, M., & Al Rashdi, S. (2025). Digital transformation and cybersecurity fears on national security in GCC. In Perspectives on digital transformation in contemporary business (pp. 25-60). IGI Global Scientific Publishing. [Google Scholar] [Crossref]

3. Al-Hajri, A., Abdella, G. M., Al-Yafei, H., Aseel, S., & Hamouda, A. M. (2024). A systematic literature review of the digital transformation in the Arabian gulf’s oil and gas sector. Sustainability, 16(15), 6601. [Google Scholar] [Crossref]

4. Al-Hajri, A., Hamouda, A. M., & Abdella, G. M. (2025). Sustainability-Based Strategic Framework for Digital Transformation in the Oil and Gas Industry. IEEE Access. [Google Scholar] [Crossref]

5. Al-lami, A., Shirkhodaie, M., & Safari, M. (2024). The digital transformation model for innovative marketing maturity in the oil companies. Revista de Gestão Social e Ambiental, 18(9), 1-40. [Google Scholar] [Crossref]

6. Appio, F. P., Frattini, F., Petruzzelli, A. M., & Neirotti, P. (2021). Digital transformation and innovation management: A synthesis of existing research and an agenda for future studies. Journal of Product Innovation Management, 38(1), 4-20. [Google Scholar] [Crossref]

7. Ashrafi, A., Constantinides, P., Mehandjiev, N., & Thatcher, J. B. (2025). Mobilising new frontiers in digital transformation research: A problematization review. Information Systems Journal, 35(1), 97-139. [Google Scholar] [Crossref]

8. Cadei, L., Rossi, G., Lancia, L., Loffreno, D., Corneo, A., Milana, D., & Nizzolo, R. (2022). Digital Lighthouse: A Scalable Model for Digital Transformation in Oil & Gas. In SPE EOR Conference at Oil and Gas West Asia (p. D031S023R001). SPE. [Google Scholar] [Crossref]

9. Carrasco-Carvajal, O., García-Pérez-de-Lema, D., & Castillo-Vergara, M. (2023). Impact of innovation strategy, absorptive capacity, and open innovation on SME performance: A Chilean case study. Journal of Open Innovation: Technology, Market, and Complexity, 9(2), 100065. [Google Scholar] [Crossref]

10. Cheong, C. W., She, L., Ma, L., Karim, S., Chan, L. F., Chong, P. L., & Wong, E. M. L. (2024). Building a culture of innovation: Innovation 360. Global Business and Organizational Excellence, 43(6), 5-23. [Google Scholar] [Crossref]

11. Chi, M., Li, W., Li, Y. J., Zhou, M., & Huang, R. (2025). Unraveling the paradoxical effects of digital transformation on organizational Resilience: The role of customer and supplier concentrations. Journal of Business Research, 191, 115268. [Google Scholar] [Crossref]

12. Chouaibi, S., Festa, G., Quaglia, R., & Rossi, M. (2022). The risky impact of digital transformation on organizational performance–evidence from Tunisia. Technological Forecasting and Social Change, 178, 121571. [Google Scholar] [Crossref]

13. Czachorowski, K. V., Haskins, C., & Mansouri, M. (2023). Minding the gap between the front and back offices: A systemic analysis of the offshore oil and gas upstream supply chain for framing digital transformation. Systems Engineering, 26(3), 241-256. [Google Scholar] [Crossref]

14. Daneeva, Y., Glebova, A., Daneev, O., & Zvonova, E. (2020, August). Digital transformation of oil and gas companies: energy transition. In Russian Conference on Digital Economy and Knowledge Management (RuDEcK 2020) (pp. 199-205). Atlantis Press. [Google Scholar] [Crossref]

15. Dang, C. N., Wipulanusat, W., Nuaklong, P., & Witchayangkoon, B. (2024). Assessing green innovation practices in construction firms: a developing-country perspective. Engineering, Construction and Architectural Management. [Google Scholar] [Crossref]

16. Du, X., Wang, N., Lu, S., Zhang, A., & Tsai, S. B. (2024). Sustainable competitive advantage under digital transformation: an eco-strategy perspective. Chinese Management Studies. [Google Scholar] [Crossref]

17. Egorov, D. P., Chistobaev, A. I., & Egorov, K. P. (2025). Digital Technologies in Ensuring Sustainable Development of Oil and Gas Territories in the Russian Federation. In Multidisciplinary Analysis of Digital Transformation and Global Market Dynamics (pp. 65-86). IGI Global. [Google Scholar] [Crossref]

18. Faustino, R., da Silva, G. L. L., Coelho, F. M., Ovalle, A., Santos, J. L. B., Silva, C. L., & dos Santos, D. R. M. (2023). Digital Transformation in the O&G Industry with the Use of Drones. In Offshore Technology Conference Brazil (p. D031S031R005). OTC. [Google Scholar] [Crossref]

19. Guimarães, J. D. S., Fernandes, C., Veiga, P. M., & Ramadani, V. (2025). The relationship between entrepreneurial ecosystems and digital transformation. FIIB Business Review, 14(1), 28-42. [Google Scholar] [Crossref]

20. Hawash, B., Abuzawayda, Y. I., Mokhtar, U. A., Yusof, Z. M., & Mukred, M. (2020). Digital transformation in the oil and gas sector during Covid-19 pandemic. International Journal of Management (IJM), 11(12), 725-735. [Google Scholar] [Crossref]

21. Hazaa, B., & Al Mubarak, M. (2025). Digital Transformation in the Oil and Gas Industry in the GCC: Exploring Opportunities and Addressing Challenges. In Innovative and Intelligent Digital Technologies; Towards an Increased Efficiency: Volume 2 (pp. 641-662). Cham: Springer Nature Switzerland. [Google Scholar] [Crossref]

22. Hendrawan, S. A., Chatra, A., Iman, N., Hidayatullah, S., & Suprayitno, D. (2024). Digital transformation in MSMEs: Challenges and opportunities in technology management. Jurnal Informasi dan Teknologi, 141-149. [Google Scholar] [Crossref]

23. Kneipp, J. M., Gomes, C. M., Zaluski, F. C., Pontelli, G. E., & Favarin, R. R. (2023). The relationship between adopting sustainability-oriented innovation practices and the business models of Brazilian industrial companies. International Journal of Environment and Sustainable Development, 22(3), 349-367. [Google Scholar] [Crossref]

24. Kokkinou, A., Mitas, O., & Mandemakers, A. (2025). Leveraging digital transformation to develop a data-driven culture for supply chain resilience: an empirical investigation. Continuity & Resilience Review. [Google Scholar] [Crossref]

25. Kuklina, E. A., & Dementiev, K. I. (2023). ESdiGital-Transformation of Russian Oil and Gas Companies: Risks and Assessments. Administrative Consulting, (7). [Google Scholar] [Crossref]

26. Lalovich, P. (2024). Unlocking Value in Oil & Gas Sector Through Digital Transformation. [Google Scholar] [Crossref]

27. Li, L., Du, K., Zhang, W., & Mao, J. Y. (2024). Empowering digital transformation: The roles of platforms. Journal of Information Technology, 39(4), 650-667. [Google Scholar] [Crossref]

28. Luo, Y., Cui, H., Zhong, H., & Wei, C. (2023). Business environment and enterprise digital transformation. Finance Research Letters, 57, 104250. [Google Scholar] [Crossref]

29. Matsunaga, M. (2021). Testing the Theory of Communication and Uncertainty Management in the Context of Digital Transformation with Transformational Leadership as a Moderator. International Journal of Business Communication, 23294884211023966. [Google Scholar] [Crossref]

30. McLeod, M., Vaughan, D. R., Edwards, J., & Moital, M. (2024). Knowledge sharing and innovation in open networks of tourism businesses. International Journal of Contemporary Hospitality Management, 36(2), 438-456. [Google Scholar] [Crossref]

31. Mehlich, J., & Woopen, C. (2025). From applied ethics to innovation practice: an ethics-by-design approach for constructive consideration of ELSI in technological design decisions. Journal of Responsible Innovation, 12(1), 2459451. [Google Scholar] [Crossref]

32. Munir, T., & Watts, S. (2024). Exploring eco-friendly business practices and corporate innovation in Pakistan. International Journal of Innovation Science. [Google Scholar] [Crossref]

33. Nadkarni, S., & Prügl, R. (2021). Digital transformation: a review, synthesis and opportunities for future research. Management Review Quarterly, 71, 233-341. [Google Scholar] [Crossref]

34. Rahman, S., Suyono, S., Setyawan, O., & Irman, M. (2023). Analysis of SMEs performance based on innovation practice, market orientation, and innovation barriers. Diponegoro International Journal of Business, 6(2), 77-89. [Google Scholar] [Crossref]

35. Saeed, S., Altamimi, S. A., Alkayyal, N. A., Alshehri, E., & Alabbad, D. A. (2023). Digital transformation and cybersecurity challenges for businesses resilience: Issues and recommendations. Sensors, 23(15), 6666. [Google Scholar] [Crossref]

36. Sheveleva, A., Tyaglov, S., & Khaiter, P. (2021). Digital transformation strategies of oil and gas companies: preparing for the fourth industrial revolution. Digital strategies in a global market: navigating the fourth industrial revolution, 157-171. [Google Scholar] [Crossref]

37. Shuja, A., Shuja, A., & Yazdani, N. (2018). The Role of Sustainability Practices in Improving Corporate and Sustainability Innovation Performance of the Petroleum Companies of Pakistan. Journal of Management and Research, 5(2), 1-27. [Google Scholar] [Crossref]

38. Tang, J., Li, W., Hu, J., & Ren, Y. (2025). Can government digital transformation improve corporate energy efficiency in resource-based cities? Energy Economics, 141, 108043. [Google Scholar] [Crossref]

39. Wanasinghe, T. R., Gosine, R. G., James, L. A., Mann, G. K., De Silva, O., & Warrian, P. J. (2020). The internet of things in the oil and gas industry: a systematic review. IEEE Internet of Things Journal, 7(9), 8654-8673. [Google Scholar] [Crossref]

40. Yang, Y., Ren, H., Liu, Y., & Yang, Y. (2025). Integration of technology and finance, digital transformation and corporate green innovation. Finance Research Letters, 71, 106444. [Google Scholar] [Crossref]

41. Yi, R., Wang, H., Lyu, B., & Xia, Q. (2023). Does venture capital help to promote open innovation practice? Evidence from China. European Journal of Innovation Management, 26(1), 1-26. [Google Scholar] [Crossref]

42. Ziadat, W., & Kirkham, R. (2024). Decoding the Digital Revolution Critical Success Factors for Digitization in The Oil and Gas Industry. In SPE Gas & Oil Technology Showcase and Conference (p. D012S001R001). SPE. [Google Scholar] [Crossref]

• Assessment of the Role of Artificial Intelligence in Repositioning TVET for Economic Development in Nigeria
• Teachers’ Use of Assure Model Instructional Design on Learners’ Problem Solving Efficacy in Secondary Schools in Bungoma County, Kenya
• “E-Booksan Ang Kaalaman”: Development, Validation, and Utilization of Electronic Book in Academic Performance of Grade 9 Students in Social Studies
• Analyzing EFL University Students’ Academic Speaking Skills Through Self-Recorded Video Presentation
• Major Findings of The Study on Total Quality Management in Teachers’ Education Institutions (TEIs) In Assam – An Evaluative Study